Abstract:
The Australian Budget 2007-08 introduced various reform measures in the area of Income Tax and concentrated on improving infrastructural facilities. The budget also allocated funds for Environmental Programs and for strengthening National Security.
Australian Budget 2007-08 made significant fund allocations in various sectors in order to ensure the long term economic growth of the Australian Economy. For making these fund allocations, the Australian Government utilized the government surplus of $10.6 billion.
The Salient Features of Australian Budget 2007-08 are the following:
The Australian Budget 2007-08 proposed that all the taxpayers of Australia would benefit from several tax cuts in upcoming four years. These tax cuts would perform as work incentives specially for the part-time workers and low-income workers.
- The budget promised that rates of Child Care Benefits would rise and Child Care Tax Rebate would be made available from 1st July, 2007. The budget also allocated $1.6 billion for financing health care programs for the aged people.
- In order to improve the infrastructural facilities, specially, the Australian Roads and Australian Railway System, the Australian Budget 2007-08 proposed an investment worth $22.3 billion.
- Australian Budget 2007-08 made provisions for increasing retirement savings for the low income workers.
- In order to safeguard the nation against terrorism, the budget allocated $702 million for strengthening the national security system.
- Australian Budget 2007-08 allocated $342 million for improvement of Rural Services and $205 million for providing support to the Primary Producers of the rural area.
- The budget 2007-08 also allocated funds for the purpose of Environment Protection. The budget promised to invest $10 billion for conservation of water supply and introduced rebates for solar panel installation.
- The budget proposed to invest $5 billion in Higher Education Endowment Fund in order to provide capital for University Research Programs.
- In this budget, additional 3500 commonwealth scholarships were declared.
- The budget also allocated additional $843 million for improving the quality of teaching in the Australian Schools.